Chapter 13 the answer for my family? Located in NC

[Mullinax]

Hello All!
New to the forum. I hate to start my first post as a thread, but definately need some advice. I've been doing some research on chapter 13, and am not sure on what to do. I have an 08 car that broke, and manufacturer won't cover it. The engine blew. I owe about 19000 on it, and am 2 and a half months behind on the payment, since I don't know if to get it repo'd or chapter 13, or pay it. I'm leaning towards the paying it and just making payments and hopefully fixing it and selling it, since it's a honda, but am not 100% sure. Reason is, I owe a lot more than the car is worth. I'm about 6000 upside down at the moment. I've seen that I would pay the Fair Market Value if I filed chapter 13, but I couldn't find what that price would be. It's an 08 Civic Si, 30,000 miles. I can't file any other bankruptcy because I am the co-signer, and my mom is the signer. (This being all before I grew up. AKA married and kid!). Wondering what you would do in my shoes, and any suggestions. If I got car repo'd, it would get A horrible price at auction, and i'd owe the remainder.. Too bad my state is not A state that doesn't let it slide! Suggestions/Advice/Criticism appreciated.

[Flamingo]

There is so much more than asking if you can file a Chapter 13...no one can answer that for you unless you post your entire financial situation (do you work, total income, total debt, amount of assets, other household income, etc., etc.). If you can post some further information, someone can chime in and help you out more...

[Mullinax]

Sorry, lack of sleep! My wife and I both work. We can afford the payment on the car, 500, but its cutting it close, especially with a kid. We make about 40,000 a year before taxes. Our house, insurance, etc are about $2200. My car payment is another $500. My credit is horrible as it is, due to lots of medical bills and charge offs from when I was younger

[momofthree]

You don't mention any other debt aside from medical bills and chargeoffs. Are you wanting to file just on the car? Do you have any credit card debt? Personal loans? Are you wanting to keep the house?

From what you've posted, you should qualify for a ch.7 bankruptcy and just surrender the car. Your house (at $2200/mo) is more than half your pay and I would strongly suggest letting that go as well.

[chicagoannie]

At $40K annual income you must be able to pass the means test for a Ch 7. Find out what NC's median income is...if you are below that and IF you have bills other than that car, Ch 7 would be the way to go, as it would also cover your past credit issues (which will likely keep coming back to haunt you.)

I concur with mom's suggestion (above) at $2200 your house payment is far too high for your income and will continue to drag you down financially. Think about walking away and truly having a fresh start.